August 17, 2004

Viagra vs. Cialis & Levitra: Battling Ad Strategy Leaves Cialis Gaining on Viagra's Still-Solid Market Lead

Viagra Cialis Levitra
There was an interesting article by Michael Stephens on AlterNet's MediaCulture about the battle of ED drugs on TV between Viagra, Cialis and Levitra:
    Since the FDA's approval of Cialis and Levitra in 2003, television has become clogged with ads for ED (erectile dysfunction) drugs. In opposition to the "We are the Champions" Viagra ad that uses the Queen song to celebrate that triumphant feeling of getting free Viagra with every seventh prescription refill, the Cialis ad asks men the worrying question, "If a relaxing moment turns into the right moment, will you be ready?" Levitra's launch campaign included a partnership with the NFL and tried to entice men away from Viagra with a sex-as-sport pitch. This approach failed miserably, illustrating the difficulties of selling new ED drugs in the wake of Viagra's overwhelming market lead. Although Cialis and Levitra have been on the market for almost a year, Viagra still retains 75 percent of the $2 billion ED drug market, Cialis has managed to capture 14 percent and Levitra 11 percent.

    After it received FDA approval in March 1998, Viagra had five straight years of being the only clinically tested ED medication available and immediately cornered the world market. Having no other similar products from which to differentiate itself, apart from a few herbal remedies of the "Horny Goat Weed" variety, Viagra didn't need to create an image for itself. Viagra's original advertising consisted of endorsements from spokesmen like Bob Dole; older respected men who basically said, "It's here. It works." Enthusiastic reviews from Hugh Hefner and other aging playboy types didn't hurt, either. Soon, Viagra was being used by all sorts of people, many of whom didn't even suffer from ED. Several years later, Viagra is so sure of its universal recognition and consumer brand-loyalty that it can joke about the high price of Viagra, while surreptitiously gloating over its market supremacy in the "We are the Champions" ad.

    Viagra's reputation makes marketing Johnny-Come-Lately competitors like Cialis and Levitra an unusually tough challenge. As Robert Krell, president of pharmaceutical advertising company Krell Advertising says, "It's a monumental task for a new drug to take the lead away from the first drug to market". This is especially true in the case of Viagra. Since Viagra is already a potent and unfailing remedy for impotence in the popular imagination, alternative drugs are fighting an uphill battle against their own apparent redundancy. Why reinvent the wheel? A significant dimension of the marketing challenge that faces the makers of Cialis and Levitra is that they must re-establish the problem of impotence – a problem that many consumers see as already having been solved by Viagra – in order to offer their products as a cure. Impotence, however, is such an unpopular topic, that it is almost impossible for advertisers to refer to it without alienating the very consumer base they are trying to reach.

    Levitra has now dropped the sporty, macho tone of its first campaign and created a new ad featuring an attractive brunette who addresses the camera confidentially to tell us a "secret" about her man: He has erection problems. But not to worry, "For him Levitra works," she confides, "just look at that smile." This ad eschews innuendo for a direct discussion of sexual performance, a daring but risky approach, which also limits the ad to evening slots. Whether or not this change helps Levitra's market share remains to be seen; what is significant is that the new ad focuses on the positive concept of sexual performance rather than the negative concept of impotence. Instead of a guy who can't even get his football in the hole, we are presented with a desirable woman whose Levitra-enhanced man has evidently pleased her and himself. This ad suggests that Levitra is about making a good thing better, not helping desperate men to "stay in the game." It also introduces the element of female approval, for although the woman tells us to look at her man's smile, it is her smile that counts.

    Cialis differentiates itself from both Viagra and Levitra by offering a 36-hour window of efficacy. This beats Viagra's and Levitra's four-to-eight hour period, and allows Cialis to focus its advertising on timing rather than performance. The first series of Cialis ads showed a couple in bathtubs in a romantic, natural setting. and asked if the man was "ready" for this opportune moment. Like the ball-throwing Levitra ad, this Cialis ad uses fear as its basic motivator, but the fear has been shifted from the stark question of ability – can you do it? – to the less threatening question of preparedness; will you be ready when the time is right? This ad presupposes the existence of drugs like Viagra and Levitra, but implies the limitations of the time frame they offer: In a spontaneous moment of desire, do you want to have to pop a pill and wait an hour for it to take effect? In France, Cialis is already known popularly as "le weekender," a buzzword that suggests Cialis's potential to ultimately threaten Viagra's primacy in the market with its superior convenience.

My prediction based on this analysis is, there's a real competitive threat from Cialis to Viagra's market hegemony based on this differentiation and, ultimately, the ad strategy behind it.

- Arik

Posted by Arik Johnson at August 17, 2004 01:49 PM | TrackBack